Pandora shares plunge following debut

In the second day of trading, shares of the online radio company fall below the IPO price.
Written by Larry Dignan, Contributor on

Pandora's high-profile initial public offering has turned into a nightmare as shares fell through the US$16 pricing floor on Thursday.

The online radio company priced its IPO at US$16 a share on Tuesday night. From there, Pandora rocketed north of US$22 on Wednesday. (Shares closed at US$17.42 Wednesday.) That price turned out to be a sweet spot to short-sell Pandora. Shares today cratered 24 percent, closing at US$13.26.

We've noted all the problems with Pandora, but the chart says it all. For Pandora's sake, let's hope it doesn't wind up in CBS News' dot-com IPO hall of shame.

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